Insurer Prudential is in focus on hopes for expansion in Asia, lifting its shares and helping the FTSE 100 climb back above 5000.

An interview with incoming chief executive Tidjane Thiam in the FT indicated the company might raise capital in Asia, partly to diverify its investment base away from the UK. Now traders are suggesting the Pru might be interested in the life assurance unit of Singapore's United Overseas Bank, which could fetch $500m. The Pru has climbed 7.5p to 567.5p.

Overall the leading index is 30.44 points better at 5018.12, helped by miners moving higher on firmer metals prices after upbeat news on the Chinese economy. Rio Tinto has risen 75p to £26.20 and Xstrata has added 25.5p to 925.5p.

A couple of days after a negative note from HSBC hit Wolseley shares, the building materials group is back in the good books with Collins Stewart raising its price target from £10.30 to £12. This is still below the current market price 0f £14.88, however, up 48p.

So - at the risk of sounding obsessed with what is after all only a numerical level - will the market stay above 5000 for longer than a day or so this time? Some reasonable - i.e. not too disastrous - UK producer prices figures are helping sentiment at the moment, but this afternoon sees US figures including a consumer sentiment report which could help determine the direction for the rest of the day. John Murphy at spread betters ODL Securities said:

"Mixed overnight trading in Asia makes for an interesting final trading session of the week. As we approach year highs, and the anniversary of the Lehman Brothers crash, it will be interesting to note if there is a period of reflection next week. The ride down was hard, and the rally has been equally spectacular, but I'm sure many traders would prefer smoother movements over the whipsawing effect we have seen over the past 12 months."

Among the mid caps online gaming group 888 is 8.9p higher at 94.2p after it unveiled a partnership deal with a subsidiary of Las Vegas casino giant Harrah's. KBC Peel Hunt said:

"Today's deal with Harrah's is transformational. Harrah's addresses two key issues; firstly, the continued credibility of the B2B strategy and secondly, the strategy not to aggressively pursue a settlement with the US Department of Justice . This should be the catalyst for a re-rating and we upgrade to a buy.

"888 has secured [the] deal against what is likely to have been stiff competition. This deal is both a vindication of the B2B strategy and the quality of the group's software. Mitch Garber, chief executive of Harrah's Interactive Entertainment, was previously chief executive of PartyGaming and many had thought that 888's competitor was the US group's most likely partner.

"We see this deal as not only vindicating 888's B2B strategy but also its stance with the DoJ. Clearly Harrah's had no qualms about 888's lack of settlement with the DoJ."